The Net Operating Cycle Represents _______

question 16

Multiple Choice

The net operating cycle represents _______.

• A)the gross operating cycle reduced by accounts payable turnover days, the amount of time that an entity's customers will let it use trade credit before requiring payment for goods and services
• B)the gross operating cycle reduced by accounts receivable turnover days, the amount of time that an entity's suppliers will let it use trade credit before requiring payment for goods and services
• C)the gross operating cycle reduced by accounts payable turnover days, the amount of time that an entity's suppliers will let it use trade credit before requiring payment for goods and services
• D)the gross financing cycle reduced by accounts payable turnover days, the amount of time that an entity's suppliers will let it use trade credit before requiring payment for goods and services

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Definitions:

Subordinate Development Levels

Refers to the varying degrees of competence and commitment exhibited by team members that necessitate different leadership approaches.

Situational Leadership

A leadership style that proposes the effectiveness of a leader is determined by their ability to adapt their approach based on the situation or maturity level of followers.

Commitment

The state or quality of being dedicated to a cause, activity, or goal, often manifesting in willingness to give time and energy to something believed in.

Motivation

The internal or external factors that stimulate people to take actions that lead to achieving a goal.